Authorities are preparing to launch another push to construct Paphos Marina, entangled in red tape for over 15 years.
In comments to the news site Stockwatch the president of the Paphos Chamber of Commerce, Giorge Mais, confirmed the Deputy Ministry of Tourism would announce a tender for consultants to prepare the terms of an international tender for investors undertaking the execution of the project.
Mais recalled that “when the project was first announced (in 2007), the cost was estimated at around €250 mln.
“Some €100 mln would be earmarked for port facilities and around €150 mln for land development”.
However, the total cost will be much higher considering today’s market conditions.
Mais was confident the project would attract foreign investors willing to join forces with Cypriot businesspeople already interested in the project.
“In an attempt to offer further incentives to prospective investors, the plan has been diversified, allowing investors more freedom to alter land development plans.
Paphos Marina will be the island’s fifth, after the ones in Limassol, Ayia Napa, Protaras, and Larnaca.
“The Paphos Marina will strengthen Cyprus’ position as a shipping destination, as cruise ship owners like to move from marina to marina.”
The Paphos marina will be built in the “Potima” location in the village of Kissonerga, on the coastal road of Coral Bay.
The master plan of the project includes apartments, restaurants, bars, shops, and cafes, while the marina will be able to accommodate 600 boats and repair services offered.
The project includes commercial and residential developments of 30,000 square meters, office spaces of 2,000 square meters to serve the needs of the marina and approximately 850 parking spaces.
Paphos authorities had first announced a tender for the project back in 2007.
In 2008, the Cybarco-Pandora consortium, which included one of the island’s largest developers, the Leptos Group, was awarded the contract.
However, two other bidders, Pafilia and the Poseidon consortium, challenged the tender commission’s decision. The litigation began, and the project was frozen.
In December 2015, the Supreme Court decided to award the contract to the Poseidon consortium, which includes another major Cypriot developer, Aristo Developers.
The consortium was set to start works to build Paphos Marina for €215 mln.
However, the consortium faced financing issues, as it could not secure a €104 mln loan from Cypriot banks.
The contract was then awarded to the third bidder, Pafilia, who had decided not to take the project.
The government was then forced to announce a new tender in 2021.
Authorities had picked a winner, but the process was challenged once more in the courts by Ernst/Young Cyprus, and the project was put on ice.
The Cyprus Tender Review Committee later rejected the appeal.
The tender was awarded to a consortium of Deloitte Ltd and Triton Consulting Engineers SA, who were tasked with preparing the related study.
Construction was expected to start at the end of 2021, but the project never took off the ground.